Imperial Pacific International (IPI) has announced that it has reached a settlement with consultancy and construction firm Mace Ltd by paying construction fees of HK$2.6 million.
The settlement will see Mace submit an application to the High Court of Hong Kong for withdrawal of a recently filed winding-up petition and to obtain a sealed order from the Court as soon as possible.
It also represents a complete U-turn by IPI, which stated earlier this week that it would fight the winding-up petition in court.
“To the best of the board’s knowledge, information and belief, since Mace Limited failed to provide satisfactory service and related evidence of service in accordance with the agreement, recovering construction management fees unreasonably, the company has refused to pay such fees and is seeking independent legal advice to dispute the claims,” it said previously in a filing to the Hong Kong Stock Exchange.
“If the company pays the HK$2.6 million construction management fees the petition will be dismissed, however the board considers that this commercial dispute does not constitute grounds for a winding-up petition and it is believed that the court will make a just decision.”
